4 March 2008
Banking (Special Provisions) Act 2008 and associated orders
The Act and Orders are available from the OPSI website. Direct links are provided below.
The Banking (Special Provisions) Act received Royal Assent on 21st February 2008.
The Treasury announced on 22nd February 2008 that it had acquired all the shares in Northern Rock, including its preference shares, and that all share options and other entitlements to shares issued by the company had been extinguished by a Transfer Order made under the Banking (Special Provisions) Act 2008. The Transfer Order came into force, and the transfers under it were made at, 00:01 on 22 February 2008.
- Northern Rock Transfer order 22 February 2008 (PDF 64KB)
- Explanatory memorandum to the Northern Rock Transfer order 22 February 2008 (PDF 40KB)
The Banking (Special Provisions) Act 2008 provides for an Order to set up a compensation scheme under which an independent valuer will assess any compensation which may be payable to holders of shares transferred to the Treasury and certain other affected parties. The Order came into force on 13th March 2008.
- Northern Rock Compensation scheme order 2008 (PDF 45KB)
- Explanatory memorandum to the Northern Rock Compensation scheme order 2008 (PDF 48KB)
An independent valuer is being appointed through a competitive process to assess any compensation that may be payable to the former holders of shares in Northern Rock plc which were transferred to the Treasury on 22nd February 2008. Following the appointment process, when the valuer is in place, he or she will set out the basis on which they are going to operate and their own rules of procedure.
A list of people who held shares immediately prior to the transfer is being maintained. They can update their contact details by following the instructions on the company web site. No further action is required at this stage by those who held Northern Rock shares prior to the transfer taking place. Further details will be available when the valuer has been appointed.
Related links
- The Northern Rock plc Compensation Scheme: applications invited for appointment as independent valuer published 5 June 2008
- Press notice 05/06/08 The Northern Rock plc Compensation Scheme: Applications invited for appointment as independent valuer
- Statement by Alistair Darling on Northern Rock published 31 March 2008
- Statement by Alistair Darling on Northern Rock presented to Parliament 18 February 2008
- Statement by Alistair Darling on Northern Rock published 17 February 2008
- Press notice 17/02/08 Northern Rock plc
The documents are available in Adobe Acrobat Portable Document Format (PDF). If you do not have Adobe Acrobat installed on your computer you can download the software free of charge from the Adobe website. For alternative ways to read PDF documents and further information on website accessibility visit the HM Treasury accessibility page.